SatixFy faces delisting from the New York Stock Exchange as its market cap falls below $50 million By Investing.com

REHOVOT – SatixFy Communications Ltd, an Israeli satellite technology company, is currently facing the threat of being delisted from the US NYSE after its market valuation fell below the critical threshold of $50 million. The company, which specializes in manufacturing payloads, user terminals and modems for satellites, has seen its shares fall more than 94% since its merger in October 2022 with Endurance Acquisition Corp, a purpose-built acquisition company. special (SPAC).

The sudden drop in the share value led the New York Stock Exchange to notify SatixFy, on Friday, December 1, of its non-compliance with shareholder equity criteria. In response, SatixFy plans to submit a compliance plan by the end of December, outlining strategies to drive business growth and capitalize on technological advancements in order to restore its financial standing.

Despite current challenges, including internal delays in chip innovation and management shakeup following the death of the CEO, SatixFy has seen a significant increase in revenue over the past nine months. The company’s revenue increased 31% to $8.9 million and included the strategic sale of its digital payload division to MDA for $60 million, which also covers prepaid chip orders.

SatixFy’s struggles reflect general industry trends, where aerospace companies such as Terran Orbital and Astra are experiencing some volatility due to changing market sentiments. However, SatixFy, which operates in the UK, US and Bulgaria, is now focusing on acquiring new customers and leveraging technological advancements as part of its turnaround plan. The company’s efforts to stabilize its financial trajectory underscore the dynamic nature of the aerospace sector and the critical importance of innovation and strategic pivots to maintain a market presence.

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